Wolford stabilizes sales in Q3

Faced with a decline in sales for almost two years in a row, Wolford returned to a bit of stability in the third quarter. From November to January, sales were equivalent to those from last year, after declines during the first two quarters. While November was considered weak, without specifying how, the company returned to growth in December and January (+4 and + 2% respectively).

The slight improvement has allowed Wolford to somewhat mitigate the decline in sales recorded over the course of nine months, now at -1.9% and 121 million euros.

Also over the course of nine months, the company’s Ebit continued to grow from 2.2 to 7.1 million euros following the implementation of cost-cutting measures. The growth was nevertheless halted in the third quarter when Ebit fell by 14%.

Over the nine months, the best performance was seen by retail, since wholesale sales were announced at -4%. With both retail and wholesale business taken into account, fortunes have varied by region. Growth has been seen in countries such as Italy (+10%), Spain (+10%), the UK (+4%), and Asia (+13%), supported of course by openings, but not exclusively so, as Wolford has announced comparable growth as well.

Countries in the red, on the other hand, included Germany (-5%), Austria (-6%) and France (-5%), as well as Central and Eastern Europe, which have been affected by the conflict between Russia and Ukraine (-21%).

While some traditional markets have seen the closure of unprofitable retail locations due to both decreases in revenues and cost-cutting measures, there were still some openings in recent months, such as in Barcelona, Florence, Frankfurt and recently in Munich.

The brand opened a major new approximately 1,100 square foot store in the Bavarian capital early this month on Weinstrasse.

Wolford stabilizes sales in Q3

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